• Trucks in a queue at the Port of Dover. On the day the UK makes its final break with the European Union, the ports are clear of truck backups. Bloomberg
    Trucks in a queue at the Port of Dover. On the day the UK makes its final break with the European Union, the ports are clear of truck backups. Bloomberg
  • A member of the military checks paperwork for lorries at the entrance to the Port of Dover. Goods are moving smoothly and grocery-store shelves are well stocked. Bloomberg
    A member of the military checks paperwork for lorries at the entrance to the Port of Dover. Goods are moving smoothly and grocery-store shelves are well stocked. Bloomberg
  • A general view of the Port of Dover on Thursday morning. Bloomberg
    A general view of the Port of Dover on Thursday morning. Bloomberg
  • Members of the military check the paperwork of drivers. Bloomberg
    Members of the military check the paperwork of drivers. Bloomberg
  • A sign for Covid 19 results required by travelers at the entrance to the Port of Dover. Bloomberg
    A sign for Covid 19 results required by travelers at the entrance to the Port of Dover. Bloomberg
  • A ferry leaves the port. Bloomberg
    A ferry leaves the port. Bloomberg
  • Trucks in a small queue at the Port of Dover. Bloomberg
    Trucks in a small queue at the Port of Dover. Bloomberg
  • A policeman checks the paperwork of a truck driver. Bloomberg
    A policeman checks the paperwork of a truck driver. Bloomberg

Dover-Calais trade route 'will work well' post Brexit, but haulier concerns remain


Alice Haine
  • English
  • Arabic

EuroTunnel operators have promised Channel crossings 'will work well' on New Year's Day when new Brexit trade rules come into force, despite warnings from hauliers and ministers of potential disruption.

The new rules from Britain's EU trade deal will start at 11pm on New Year's Eve in the UK, midnight in Brussels, after a landmark trade deal was struck on Christmas Eve and approved on Wednesday by Parliament.

Despite concerns of chaos at the border, following on from the Kent lorry crisis over Christmas caused by alarm over the mutant strain of coronavirus, John Keefe, director of Getlink, said he was 'confident that it will work well on 1 January'.

“Things will start slowly,” he said. “January 1 will be a quiet Bank Holiday after New Year’s Eve. I don’t think traffic will build up until late in the first or second week of January. This initial quiet period will allow everyone to prepare.”

While the trade agreement maintains zero-tariff and zero-quota access between Britain and its biggest trading partner, there will be new customs formalities and paperwork for hauliers from the UK taking goods to the EU and Northern Ireland.

Dover remains the UK’s most important link with the EU, the country’s biggest trade partner; however, the amount of tonnage has declined by 14 per cent since the Brexit vote in 2016, according to Department for Transport data. Other ports have gained business since then with Liverpool’s traffic growing 7.6 per cent and London Medway surging 43 per cent.

The government urged hauliers without the correct documentation to delay their journey until the paperwork was in place otherwise they would be stopped and their goods held causing delays.

Michael Gove, the Cabinet minister in charge of Brexit preparations, said earlier this week that Britain's businesses a face a "bumpy" post-Brexit period as they adapt to new EU regulations.

The Road Haulage Association also warned that customs formalities and regulatory checks mean there is likely to be “teething problems” at the border.

Duncan Buchanan, policy director of the Road Haulage Association issued a tweet on Thursday urging its members to be prepared.

“Kent Access Permit goes live at midnight,” he wrote. “All HGV's +7.5t leaving UK via Dover or Channel Tunnel will need a permit. Fines can be issued.”

Rob Holliman, director of Essex-based haulage firm Youngs Transportation and Logistics said the biggest concern is how long the export customs clearance will take for trucks with cargo on board exiting the EU and then entering the UK.

“Time is indeed money when you are running trucks and our whole pricing structure going backwards and forwards to Belgium ... is based on how many trips we can get in one week.

“So if the delays are sufficient for us to do less trips per week, then our costs for that week will have to go up. And if our costs go up then so will our sales … which will we have to pass on to our customs which ultimately means you and I will pay more for that in our supermarket.”

Mr Holliman said he would not run any of its lorries in the first week to ensure none of his vehicles are delayed.

“We’re not sending anything the week commencing January 4. That way, it gives the country time to get used to all these new systems ... and then we can hopefully resolve any issues in advance of sending any trucks.”

French truckers have also warned that red tape, new "smart borders" that don't talk to one another and ill-prepared traders could cause border chaos.

Sebastien Rivera, head of the National Federation of Road Hauliers in the northern Hauts-de-France region, home to the port of Calais and Eurotunnel terminal, said on Wednesday that disruption is inevitable,

"If you listen to the French and British authorities, the talk is of smart borders and full readiness, but that doesn't stop us having doubts," Mr Rivera said.

"It will be a real headache. Some companies will be ready, others won't. It's a major change of habits that lies ahead."

A pedestrian passes a portable government advice centre for lorry drivers and hauliers in Ipswich, UK. The government urged hauliers without the correct documentation to delay their journey to the EU to avoid delays. Bloomberg
A pedestrian passes a portable government advice centre for lorry drivers and hauliers in Ipswich, UK. The government urged hauliers without the correct documentation to delay their journey to the EU to avoid delays. Bloomberg

Companies were already stockpiling and exploring alternatives to the crowded truck-ferry route across the English Channel when France unexpectedly closed its border for two days last week, citing the spread of the Covid-19 mutant strain in the UK. The disruption caused huge queues at the Port of Dover.

In response, logistics firms have looked to relieve pressure on lorry traffic, stepping up airfreight, container ferry and air-cargo shipments. With the New Year arriving on a long weekend, concerns of an immediate repeat of last week’s chaotic scenes have diminished.

“It should be quiet for at least the first few days,” said Richard Ballantyne, who heads the British Ports Association. “If there are blips of people turning up without the correct documentation, if it’s going to happen at any time, it’s better to be then.”

Mr Rivera said it was inevitable not all businesses would be ready to navigate the raft of paperwork, including customs and safety declarations, and the IT systems.

"Our worry is what happens when we return to 'normal business' in mid-January," he said.

While Britain will phase in full customs formalities over six months, EU states are imposing them immediately.

French customs, for example, have employed an extra 700 agents to deal with the post-Brexit trade rules with almost half of them will be based at Calais' port and Eurotunnel terminal.

Ten tax points to be aware of in 2026

1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

Race card

1.45pm: Maiden Dh75,000 1,200m.

2.15pm: Maiden Dh75,000 1,200m.

2.45pm: Handicap Dh95,000 1,200m.

3.15pm: Handicap Dh120,000 1,400m.

3.45pm: Handicap Dh80,000 1,400m.

4.15pm: Handicap Dh90,000 1,800m.

4.45pm: Handicap Dh80,000 1,950m.

The National selections:

1.45pm: Galaxy Road – So Hi Speed

2.15pm: Majestic Thunder – Daltrey

2.45pm: Call To War – Taamol

3.15pm: Eqtiraan - Bochart

3.45pm: Kidd Malibu – Initial

4.15pm: Arroway – Arch Gold

4.35pm: Compliance - Muqaatil

MATCH INFO

Uefa Champions League, Group C
Liverpool v Red Star Belgrade
Anfield, Liverpool
Wednesday, 11pm (UAE)